71 MBA Statistics and Trends for 2024

The Master of Business Administration (MBA) remains a pivotal force shaping the landscape of corporate leadership and entrepreneurial success. As we venture into 2024, understanding the evolving trends, demographics, and outcomes associated with MBA programs becomes crucial for prospective students, educators, and industry professionals alike. 

Our post, 71 MBA Statistics and Trends for 2024, offers an in-depth exploration into MBA education’s current state and future projections, providing valuable insights for those looking to navigate the complexities of this esteemed degree. With a blend of statistical analysis and expert commentary, this article provides a comprehensive guide to the multifaceted dimensions of MBA studies and their impact on career trajectories and business innovation.

Average Salary for MBA Graduates in the U.S. is $115,000

In a recent report by Zippia, MBA graduates in the United States show a significant return on their educational investment, with the average annual salary reaching $115,000. This increase reflects the high demand for business management skills in the evolving corporate landscape.

Why Earn an MBA?

Earning an MBA is a strategic step for professionals aiming to elevate their careers in the corporate world or embark on entrepreneurial ventures. In the corporate sector, an MBA is a gateway to upper management roles, equipping individuals with essential leadership, strategic planning, and financial management skills. 

The degree offers entrepreneurs a foundation in business operations, market analysis, and strategic decision-making, critical for launching and sustaining successful businesses. Beyond practical skills, an MBA provides access to a vast network of professionals and a broader understanding of global business trends, making it a valuable investment for those seeking to advance their careers or forge new paths in the business landscape.

Fast Facts about MBAs

The allure of an MBA degree has never been stronger, reflecting in the soaring demand and the significant presence of MBA graduates in the global corporate hierarchy. This section delves into the critical statistics that paint a picture of the current MBA landscape, from enrollment numbers to the influence of MBA holders in the C-suite. Understand the shifts in application rates and the growing emphasis on interpersonal skills in business.

1. Demand for MBA grads is at an all-time high.¹
2. Over 250,000 students are enrolled in MBA programs around the world.²
3. MBA grads make up almost 40% of C-suite executives on the 2022 Fortune 1000 list.³
   • CEOs, CFOs, and CTOs are more likely to hold an MBA degree than any other graduate degree.
4. MBA program respondents reported a 7% decrease in applications in 2023 from the previous year.⁴
5. MBA programs with international business concentrations are on the rise (up 3% in 2020).⁵
6. 61% of global recruiters rate interpersonal skills as important for business graduates.⁶
7. Business and financial occupations can expect 7% growth from 2021 to 2031.⁷
8. 27% of business majors study business management and administration.⁸
9. The average MBA graduate has $75,000 in debt.⁵
10. The MBA is the most popular online graduate degree.⁹
11. 68% of MBAs are sponsored by a company.⁵
12. Over 90% of MBA grads see a meaningful improvement in their professional networks.¹⁰

MBA Degree Statistics

The MBA degree continues to be a cornerstone of advanced business education in America and beyond. Here, we explore the reasons behind its enduring popularity, the skills it imparts to its alumni, and the changing dynamics of program acceptance rates and study formats. This segment sheds light on the aspirations and outcomes of MBA students, providing a clearer understanding of the degree’s value in today’s market.

1. The MBA has been the most popular graduate degree in America since 2010-2011.²
2. The most popular reason students gave for completing an MBA degree are¹¹:
   1. ‘To acquire more skills and knowledge about the business world’ (70%)
   2. ‘To expand my area of expertise’ (67%)
   3. ‘To get a broader understanding of how business should be managed’ (50%)
3. The top three skills gained by alumni during MBA programs are leadership, strategic thinking, and problem-solving.⁵
4. Around 52% of MBA programs worldwide are accredited by at least one major global accreditation body.¹⁰
5. The MBA program acceptance rate was 18.4% in 2021, down from 22.3%.⁵
6. About 70% of MBA candidates opt to study full-time.¹⁰
7. Entrepreneurs with an MBA degree are more likely to succeed in business than someone who does not.¹²
8. 10% of MBA graduates strike out on their own as self-employed entrepreneurs.⁹
9. 57% of those who wanted to make a career change within the MBA industry in 2022 said they were successful.¹¹
10. Specializing in finance has increased 26% from 2016 to 2021.¹¹
11. 54% of U.S. schools saw an increase in international MBA students in 2022.¹¹
12. The acceptance rate for MBAs is 27% higher than it was in 2016.⁵
13. 97% of executive MBA students have 13 or more years of work experience.⁹
14. From 2011 to 2020, there was a 5% increase in female faculty at business schools.¹³
15. Online MBA programs cost an average of 25% less than on-campus programs.⁵

MBA Degree Costs

1. The average cost of an MBA degree is $61,800.⁵
2. Private school MBAs can cost up to 10 times more than public school MBAs.⁵
3. The average cost for MBA textbooks is between $1,000 and $4,000.⁵
4. Distance-learning MBA programs can cost up to $35,500 on average.¹⁰

MBA Demographics by Sex/Gender

1.  From 2011-2020, there has been a 5% increase in female MBA students.¹³
2. In 2022, 44% of MBA applicants were women, marking the highest percentage of female prospective students in any MBA program.¹¹
3. In 2021, 56% of MBA students were men, and 44% were women (generalist track, no specialty).¹³
4. From 2016-2021, female specialized master’s enrollment increased by 1 percent.¹³

MBA Demographics by Age

1. 28 is the average age of incoming MBA students.⁵
2. 16.4% of students in MBA programs began their program at age 25.⁵
3. 12.5% of students, on average enter MBA programs at age 30 or older.⁵
4. Millennials represented nearly 9 in 10 part-time MBA candidates in 2018.¹⁴

MBA Demographics by Race/Ethnicity

1. In 2021, MBA enrollment by race/ethnicity was as follows¹³:
   1. Black students – 10%
   2. Hispanic students – 10%
   3. Asian students – 9%
   4. Students of 2+ races – 3%
   5. Native American students – 0.4%
2. MBA student enrollment for underrepresented ethnicity groups increased by 10% (from 22% to 32%) from 2011-2021.¹³
3. Hispanic students had the greatest gains as a percentage of the total population, from 5% to 10% from 2011-2021.¹³
4. Black MBA student enrollment rose 4% (from 22% to 32%) from 2011-2021.¹³

MBA Employment and Earnings

The ultimate measure of an MBA’s value often lies in the employment and earnings outcomes of its graduates. This section presents the latest statistics on MBA graduate salaries, employment rates, and industry placements, providing a comprehensive overview of the financial and professional returns on an MBA investment.

1. The average annual salary of an MBA graduate is $115,000 (U.S.).⁵
2. The average MBA graduate makes $4,110,000 in their lifetime.⁵
3. The average signing bonus for 2021 MBA graduates was $12,172.¹⁵
4. 71% of U.S. companies invite MBAs to internships.¹⁰
5. Earning an MBA can increase your salary by an average of $45,000.¹⁰
6. 80% of MBA graduates are employed within three months.¹¹
7. 42.8% of MBA graduates work in the finance and accounting sectors.¹⁰
8. The average starting salary for an MBA graduate is more than $105,000. ⁵
   1. This average includes bonuses, with the base salary of new graduates starting at an average of $95,370.
9. The average salary for an MBA after 3-5 years: $151,951 for women and $172,469 for men.¹⁶
10. The gender pay gap for MBAs has shrunk from 39% in 2016 to 20% in 2020.¹⁶
11. 86% of MBA students surveyed had full-time employment by graduation.¹⁷
12. The median percentage increase in total compensation for graduates already employed in the industry was 29% in 2022.¹¹
13. A 10-year ROI of up to 325% is expected for MBA alums who graduate from top-ranked business schools.¹¹
14. Over 50% of MBA graduates change careers post-degree.¹⁰

Earnings by Industry

1. The highest average MBA starting salaries by industry¹⁸:

1. Consulting – $147,178
2. Financial services – $138,834
3. Technology – $128,442
4. Health care – $116,250
5. Retail – $115,485

2. MBA graduates increased their salaries by an average of $41,000, or about 46% after earning their degree.¹⁹

Conclusion

The landscape of MBA education is continually evolving, shaped by global economic trends, technological advancements, and shifting societal values. As we dissect these 71 MBA Statistics and Trends for 2024, it becomes evident that while challenges remain, the value of an MBA in fostering leadership, strategic thinking, and financial acumen continues to stand the test of time. 

For those contemplating this educational path, understanding these MBA statistics and trends is crucial for making informed decisions that align with personal and professional goals. As the world of business education moves forward, the MBA remains a key pillar in the architecture of career success and organizational leadership.

Sources

1. https://www.gmac.com/-/media/files/gmac/research/employment-outlook/2021_crs-demand-of-gm-talent.pdf
2. https://poetsandquants.com/2022/04/27/size-of-top-u-s-mba-programs-by-enrollment/
3. https://fortune.com/education/articles/how-valuable-is-an-mba-its-the-go-to-degree-for-nearly-40-of-fortune-1000-execs/
4. https://www.gmac.com/-/media/files/gmac/research/admissions-and-application-trends/application_trends_survey_-_2022_summary_report.pdf
5. https://www.zippia.com/advice/mba-statistics/
6. https://www.gmac.com/market-intelligence-and-research/market-research/corporate-recruiters-survey
7. https://www.bls.gov/ooh/business-and-financial/home.htm
8. https://www.bls.gov/ooh/field-of-degree/business/business-field-of-degree.htm#maj
9. https://www.mbacentral.org/mba-degrees-facts/
10. https://gitnux.org/mba-statistics/
11. https://studyonline.uts.edu.au/blog/mba-statistics-worldwide
12. https://www.ft.com/content/3d3f48f8-95cb-11e4-be7d-00144feabdc0
13. https://www.aacsb.edu/-/media/publications/data-reports/aacsb_us_gender_ethnicity_stat_sheet.pdf?rev=76e81480f73d4c0b9a28fe4f0b51aa12&hash=2D8FDC7FC87D7556D8F7E709CB9AEDB4
14. https://www.gmac.com/market-intelligence-and-research/research-library/admissions-and-application-trends/keeping_pace_insights_and_strategies_for_the_future_of_us_part_time_mba_programs
15. https://www.coursera.org/articles/mba-degree-salary
16. https://www.fortefoundation.org/site/DocServer/Forte_-_2021_MBA_Research_Findings_-_September_2021.pdf
17. https://poetsandquants.com/2023/04/10/gen-z-sours-on-tech-jobs-new-gmac-survey-finds/?pq-category=business-school-news
18. https://www.usnews.com/education/best-graduate-schools/top-business-schools/articles/mba-salary-jobs
19. https://www.earnest.com/blog/how-much-does-an-mba-increase-your-salary/